CFA exam pass rate increases to 43%

Jan 28, 2014 @ 10:39 am

A higher percentage of hopefuls for the chartered financial analyst designation passed the first level of their three-part exam in December.

Forty-three percent of applicants passed the first test, the CFA Institute said in a statement on its website today, up from 38% when the test was last given in June 2013 and 37% in December 2012.

Global investment banks have cut head count and are reducing the portion of revenue set aside for compensation as trading slumps and regulators demand banks hold more capital. Goldman Sachs Group Inc. President Gary Cohn said in May that competition to get jobs on Wall Street is still high and that the firm hired 350 summer analysts from a pool of more than 17,000 applicants.

“The financial community is dealing with a crisis of investor trust, and industry education at all levels is a critical part of rebuilding that trust,” John Rogers, president of the CFA Institute, said in the statement announcing the results.

About 45,700 financial professionals sat for the latest test, a 6.7% decrease from a year earlier. Certification can lead to better jobs, higher salaries and a deeper understanding of finance. Candidates may take the Level 1 exam in both June and December, unlike the two latter levels, which are available once a year.

Successful charter recipients spend an average of 300 hours preparing for each exam and typically take four years to complete all three tests, according to the not-for-profit institute.

(Bloomberg News)


What do you think?

View comments

Recommended for you

Sponsored financial news

Featured video


Top questions surrounding future of DOL fiduciary rule

Reporter Greg Iacurci and managing editor Christina Nelson discuss the biggest uncertainties springing from the Fifth Circuit Court of Appeals' decision to vacate the regulation.

Latest news & opinion

Higher estate-tax exemption level could mean less work for advisers

With fewer taxpayers affected by the federal estate tax, the demand for estate planning is diminished.

Stocks plunge, advisers tell clients to hang tight

Though planners encourage calm, some are preparing investors for a correction.

Lightyear Capital's Donald Marron said to be in the hunt for Cetera Financial Group

The veteran brokerage executive, who bought Advisor Group in 2016, owned Cetera once before.

What to watch for next with the DOL fiduciary rule

Much hinges on whether the Labor Department appeals the 5th Circuit decision by April 30.

Social Security benefits losing buying power

Low inflation combined with rising Medicare costs threaten the adequacy of seniors' income.


Hi! Glad you're here and we hope you like all the great work we do here at InvestmentNews. But what we do is expensive and is funded in part by our sponsors. So won't you show our sponsors a little love by whitelisting It'll help us continue to serve you.

Yes, show me how to whitelist

Ad blocker detected. Please whitelist us or give premium a try.


Subscribe and Save 60%

Premium Access
Print + Digital

Learn more
Subscribe to Print